>> brian: it's going to be a cry for help. come to my house. a lot of turkeys use that line. >> steve: have a fantastic thanksgiving. bye, everybody. >> a fox news alert. time is running out for a truce in gaza. secretary of state hillary clinton pressing for a cease-fire as the fighting rages on. [gunfire] >> underground rocket launchers release a barrage of rockets raining down on israel. good morning. glad you are with us. i'm gregg jarrett.

>> i'm heather childress in for martha maccallum. a bus bombed in tel aviv after a terrorist tosses an explosive device. leland, is there an established link between the tel aviv bus bombing and what's going on in gaza? >> reporter: so far there hasn't been a credible claim of responsibility. but inside hamas they praise the bomber, they passed out candy to their children. it's a celebration tradition that went back to the second intifada. people's faces say, "here we go

again." this is the raw intensity that we saw during the second intifada. it's a suicide bombing. all the glass has been knocked out. while the iron dome has protected tel aviv from hamas' missiles it did not protect it from this, bringing back memories of the second intifada and brings fear to the streets of the country's second largest city. there has yet to be an arrest. but it has serious consequences. the focus of the cease-fire talks in terms of rockets but also other activities from these militants around israel. gregg: what's the latest on the gaza offensive? >> reporter: the rockets keep

coming out overnight. we had a number of rockets fired and 2 people died overnight. the israeli air force bombed one target they said was near the football stadium. there were a number of m munitis being held. that shows you how much weaponry there is in the gaza strip. also it shows you just how long the target list is. we are in day eight of this. so far there is 130 palestinians dead, many of them civilians, a number of them children. the other thing going forward is how the cease-fire talks work as this is going forward. secretary of state hillary clinton is in cairo. we talked of a cease-fire yesterday at this time and so far there has been no agreement.

today's events have pushed off an agreement even further. gregg: leland vittert we'll check back with you. can secretary clinton get both sides to agree on anything or are we in for more violence? jack keane will join us live. >> the labor department just releasing its weekly unemployment claims report. applications falling a little from the week before but still high at 410,000. the labor department blaming the recent spike in claims on superstorm sandy. last week's numbers were the first time we saw above 400,000 in more than a year. we are learning that has been resides up by 12,000. it was originally reported at 439,000 and was 451,000.

that's an 8-month high for reporting. gregg: new applications for unemployment benefits fluctuated between 380,000 and 390,000. jobless claims have stayed above 300,000 and spiked in early 2009. they must fall below 375,000 to indicate the job market is strong enough to lower the unemployment rate. >> unions flexing their muscle. the seiu warns members to expect delays in l.a., and new york and

chicago as they negotiate a new contract. black friday shoppers heading to walmart. they could face striking workers there. what are the unions trying to accomplish? >> reporter: they will have maximum public impact. this is the big holiday week. travel big, shopping big. so get out there and demonstrate and have an impact on the public. this is a big opportunity to do just that. let's look at walmart. friday there may be demonstrations in 1,000 walmarts at their parking lots. moveon.org is putting out the word, get out and demonstrate, even if you don't work for walmart. they want maximum impact. in chicago maintenance workers, their jobs have been privatized, they lost grounds. they are going to demonstrate.

at los angeles a union has been decertified, they are going to demonstrate because they lost healthcare benefits. a spokesman said expect some delays at lax on one of the biggest travel days of the year. getting in your face when i travel and when you shop on holiday week. >> >> reporter: you mention they are attempting. do you think they will have any impact? >> reporter: that's the question, what impact will they have? how many walmart shoppers will be deterred. how many travelers won't travel. you don't know. but the message from the union is clear. we are here, we are back, we have a role to play in a second obama administration. this is holiday week and you will see it.

>> thank you very much. we appreciate it. gregg: twinkie lovers. sorry, no deal. an attempted mediation has failed. now the company is asking a judge to liquidate its operations. a union lawyer wouldn't comment on the sticking points. the baker's union rejected a 5-year deal including an 8% wage cut. hostess filed for bankruptcy saying it has $1.3 billion in debt. we'll have more later on in the program. >> a run on hostess products across the country. folks lining up to buy twinkies, ding dongs, ho-hos and all those sweet treated before they disappear. >> my daughter wants twinkies. >> how many bags do you think you have? >> i have four bags.

donuts and pies. my husband wanted me to buy some for him to take to work. >> even if hostess goes out of business its popular snacks will likely live on. a long shelf li. several potential buyers have expressed interest in the brand. gregg: did you eat twinkies as a kid? >> i did not but in my adult life i had a fried twinkie. gregg: i like the fried salami and fried pickles. democratic lawmakers blasting leaders for their criticism of susan rice claiming it's racism. >> it looks like the administration is changing its story on benghazi.

gregg: more details on the deadly indianapolis home explosion. police serving search warrants after announcing the case is a murder investigation. >> it's troubling. it's a criminal investigation now. this is not an act of god. this is something that did not have to occur. that's troubling to all of us. i. [ thinking ] woer what other questionable choices i've made? i choose date number 2! whooo! [ sigh of relf ] [ male announcer ] choose taste. choose prego. what starts with adding a friend... ♪ ...could end with adding a close friend. the lexus december to remember sales event is on. this is the pursuit of perfection. time for cii price rewind. because your daughter really wants that pink castle thing. and you really don't want to pay more than you have to.

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gregg: republican senator john mccain says he is frustrated with reports that the intelligence community is suddenly changing its story on the benghazi attack. james clapper says they in fact did make the edits to the administration's talking points. but john mccain says senior intelligence officials were asked this very question including the director of intelligence and they told us

they did not know who made the changes. now we have to read the answers to our questions in the media. he says general petraeus * said the cia knew within 24 hours al qaeda was behind it but susan rice did not use that information on the talk shows saying the siege resulted from a spontaneous protest. last thursday clapper tells one story and now according to his spokesman its is just the opposite. do you think he is not still telling the truth? >> it's hard to know. it's the old quote. i'm not mad you lied to me. i'm mad i can't believe anything you tell me. this is the head our intelligence an changes his mind within 24 hours.

today is the 70th day since four our fellow americans were murdered. we are talking about susan rice's career progression and james clapper's ability to keep a fact straight and desperate housewives having an affair with generals. gregg: and four people are dead. we are talking about a tragedy here. murdered by terrorists. in reference to james clapper, one story last week, now a different story. it's a crime to lie to congress. do you think a serious look at that needs to be undertaken by perhaps an independent prosecutor? >> it depends. i'm sure his explanation is going to be it was an innocent misrecollection of the truth. i'm not defending the guy. i'm just saying we don't have a lot of success pursuing perjury

or lying to congress. look at roger clemmons. i'll just settle for the truth. we can start today and come up with one narrative on who knew what when, i'll setting for that. it's embarrassing mr. clapper in the course of 24 hours can't get his story straight. he's not a summer intern. he's the head of intelligence for our country. gregg: hey dam shift the head of the intel community said the talking points were changed to protect classified sources. doesn't that mean americans were deliberately misled with false talking points to hide the truth in classified documents? >> it means that. here is also what it means. this administration is under investigation for leaking classified information when it benefits them. whether it's the bin laden raid,

whether it's cyber attacks in iran. they are willing to leak information with it supports their narrative. they are willing to with hold information when it doesn't support their narrative. here is the other point. it's not just what she didn't say, it's what she did say. she may not have known it was al qaeda. there is no evidence it was a video. there is no evidence it cause spontaneous. so it' not just what susan rice wasn't told it what's she affirmatively told the american people which is demon extraabl s false. gregg: why did send out susan rice four days later to say it wasn't a terror attack necessary what is deliberately peddling a lie to the american people. do you think the president was

doing that. >> that's a great question. if we can get reporters like you at his next press conference in 18-24 months instead of the ones i saw last week that have a crush on him. candy crowley didn't during the debate. it didn't happen last week. instead of taking up for susan rice. i'll make the deal with the president. you come in her place and answer questions. gregg: what about general petraeus, he has told members of congress he knew within 24 hours it was a terrorist attack. he says i signed off on the false talking points. what about his complicity in a lie? >> agreed. why did you change the talking points? it didn't fit an election year narrative. they were at the front of our

consulate getting ready to set it on fire and kill four our americans it was the truth. it just wasn't the narrative. if i want petraeus back, i want hillary clinton. why did hillary clinton refuse to go on the talk shows. why did the person with knowledge say no and susan rice say yes. this is the 70th day and there are more questions than answers with benghazi. gregg: representative trey gowdy. i hope you get to the bottom of it. heather: a green car company suing the government saying they were repeatedly denied help because they weren't a friend of the administration. he scored 138 points in a single basketball game. the college player who shattered the ncaa scoring record and now has the pros talking about him.

he joins us live next.

gregg: the first of its kind at the marine corps air station, the first squadron of f-35 fighter jets. senator john mccain and base commanders welcoming the future of america's security. >> the aircraft will be front line of defense for the next 50 years is here at the marine corps air scaition yuma. >> it's an honor. and i can't say enough about the 116 marines i have it's their

hard work that makes all this possible. gregg: three f-35 fighters have arrived at the base. 13 more to come over the next year. heather: a green car maker has sued the government over what is described as crony capitalism. the company says that the energy department intentionally stalled its loan applications and those of other startups to force them out of business and protect companies favored about it administration. john fund is the national affairs columnist for the "national review." this sounds like a cool car, an inflatable car made from expanded foam. but it's a small startup company. they say thanks to crony

capitalism they can't get the loan that they deserve. do you think they deserve a loan? >> i don't think any car company deserves a loan. we saw what happened when general motors became government motors. it hasn't worked out well. ronald reagan was right, when he warned businesses seeking help from the government. never get in bed with the government, you will never get a good night's sleep. the government is about politics. this $25 billion has so far only given four loans. and it's the big boys. shall we say -- bottom line, the government did exactly what it says it did. though they did get $1 million for a special experimental

project. heather: but they applied for others which have been denied. >> there is money available that goes to universities labs and other labs that help with this kind of technology. it doesn't go directly to companies. companies have a great incentive to try to practice political pull and steer money to candidates and congressmen who will help them get the money. that's why we have the earmark scandal. the green energy sector is rife with corruption. heather: besides friends getting the loan. there is an allegation two other startup companies have had their applications intentionally stalled to run them out of business. >> they are going to have a lawsuit. but the obama administration has another issue. 9 democratic senators say now that the election is over, you

should allow the keystone pipeline to canada to be built to bring the canadian oil down to this country rather than ship it to japan or china. i'll bet the obama administration won't do that. heather: we appreciate it. gregg? gregg: israel is giving diplomacy a chance. but can hillary clinton broker a truce. thanksgiving headaches you will want to avoid. [♪]

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prime minister netanyahu and had this to say. >> america's commitment to israel is rock solid and unwavering. the rocket attacks from terrorist organizations inside gaza on israeli cities and towns must end and a broader calm restored. gregg: general jack keane is a four star general retired. general, great to see you. this is shuttle diplomacy. she has been in jerusalem, ramallah, now cairo. can a cease-fire be brokered here? >> i don't think she would be here unless they believed a cease-fire can be obtained. i also believe she is here because they had legitimate concerns about netanyahu going on the ground in gaza.

>> what does hamas wants out of this? >> they want open borders, access to those borders in a way they don't have them now. they want the naval blockade removed. they want a significant improvement in trade. >> reporter: wouldn't that facilitate even more smuggling of rockets into gaza most of them made by iran. >> they are pushing them through africa, into the sinai, and that would absolutely increase if they opened th the border acces. gregg: former prime minister ehud barak said calm is a good deal for israelis. what are they looking for? >> he wants the rockets to stop in the long term. he wants to stop the sporadic

intermittent firing of rockets that has gone on for the last four years. he wants to shut the sinai down as a trafficking points forearms and also from the point where terrorist attacks come. these are difficult to attain quite frankly. gregg: how successful have the israelis been in degrading the ability to launch terrorist attacks. >> the iron dome -- when you think they have fired 1,500 rockets. they only had to respond to 360 and they knocked down 90% of them. if they did not have that success and they were taking high casualties they would have been on gaza on the ground and this would have escalated dramatically. greggdramatically.gregg. gregg: hamas is designated by

our administration as a terrorist organization. how much influence can abbas have? >> not much. abbas has not recognized israel. none of those concerns have been removed. there will be a cease-fire to be sure. but in the future we'll have a repeat of this. gregg: let's talk about egypt. that's where secretary of state hillary clinton is. the muslim brotherhood changes the dynamic dramatically. they are in economic chaos. we provide millions in aid. we are threatening -- some senators are threatening to with hold that. is that our leverage? >> morsi stepped up to the plate to fulfill the role of a peacemaker. for many observing this, that's a welcome geopolitical event but

it's also a surprise. but let's not kid ourselves. morsi's motivations are as you suggest. we provide him billions in aid. he needs that money. he wants a relationship with the united states. at the same time he has an audience in egypt that clearly is backing hamas in this event and is anti-israel and he has to cater to both. gregg: general jack keane, great to see you. heather: an amazing athletic performance smashing a 58-year-old ncaa basketball touring record. jack taylor scoring 138 points. his home team scored 179 points. jack taylor join us live to talk a little bit more about this amazing feat. jack, i have got to ask you, how in the world did you do this? >> coming into the game i hadn't

been shooting well so far this season. so my teammates and coaches wanted to get me going offensively. they made a concerted effort to give me more shots. >> you kind of had an off weekend and so you came into this game. you were motivated to do better and you certainly did. i want to take a look at some of the statistics from the game. you attempted 108 shots. you made 27 of 71 3-point shots and scored points a minute in the second half. >> yeah, coming into halftime, i had 58 points. and my teammates started to get excited for me and said they are going to give me the ball every time down the court unless i start to get cold.

i can't thank my team enough for how unselfish they are. >> you have got nba stars. carmelo anthony said it was like a video game. major league baseball players. what does it feel like to be such a star today? >> it's really unreal. you know, i have to thank god for my talent and opportunity. and i don't know if it's kicked in yet. i don't know when it will but it's exciting. heather: i put a tweet out there that you would be on. heather murphy had this to ask you. she said you inspires some of the greats and the tweets moist. who inspired you? >> one of the players i -- that inspires me is kobe bryant.

just -- you know, his passion for the game is something i can relate to. and it has been someone i look up to. heather: kobe bryant said i don't care what level you are at. scoring 138 points is pretty insane. that must have made you feel good. my oh anchor gregg jarrett is here. gregg: what does that feel like, were you in a mental zone in which you had so much confidence you felt you couldn't miss? did the basketball hoop just look huge to you? >> it really did, like. i don't even remember a lot of the game to be honest with you. i think i was just in a mental state where, you know, i was focused on scoring and nothing else mattered. and i felt like anything -- whether it was off balance --

gregg: it was one of those great days. what about your defenders. it was pretty embarrassing for them. >> they threw some zone at me and some double teams at me. but i was able to jiggle my way out of situations and create for myself. heather: we have to let you go because you have a 10:00 a.m. class even though you are a superstar today. introduction to christianity so you will be thankful in there today. >> i will be. heather: thank you so much for joining us, we appreciate it. gregg: i thought it was amazing when wilt chamberlain scored 100 points. jack is 5'10". he's a guard.

it's amazing he could beat chamber lane's record, albeit in college. obama-care survived the supreme court and the presidential elections. the new law that could make it unworkable and raise your healthcare premiums in the process. heather: democrats rising to ambassador rice's comments on benghazi claiming racism. tonight our guest, thomas sargent. nobel laureate in economics, and one of the most cited economists in the world. professor sargent, can you tell me what cd rates will be in two years? no. if he can't, no one can. that's why ally has a raise your rate cd. ally bank. your money needs an ally.

heather: clothing is no longer optional on the streets of san francisco. but that didn't stop demonstrators from stripping down to protest the new nudity ban. but lawmakers narrowly voting to prohibit people from exposing themselves. that is angering some who prefer

going au naturale. >> it many telling people they should be ashamed to be maked in our city. >> it's weird. this our city. it's why we are here. if it's offensive to you don't live here. heather: the ban was suggested in reaction to a group of naked men who would regularly meet at one of the city's parks. gregg: a growing number of lawmakers slamming susan rice. one calling her incompetent. another james dli we in the south know what that means. i take offense when people use those words. i have a problem with them. many republicans say rice knowingly or unintentionally mislead americans with these benghazi comments. >> what happened initially, it

was a spontaneous reaction to what just transpired in cairo in response to the video. people gathered outside the embassy and it grew very violent. alan, the word incompetent is a racially coded word? >> as a white guy i don't think it's my place to tell james coburn ... gregg: clyburn ... >> say something one is lazy and associating that word with african-american. furthermore, republicans are making a mistake. the first thing they do after the election is start attacking an african-american woman without any cause. this had nothing to do with

benghazi. she was given cia information. if she had used words like al qaeda or terrorism it could have put american in jeopardy. gregg: clyburn's remark arises out of the 97 congressmen who wrote a letter about susan rice using that letter the word incompetent. but two of the signatories are african-americans. and clyburn's colleague is tim scott, doesn't that undermine clyburn's argument? >> if this was condoleezza rice and not susan rise, alan would be on the other side of this camera suggesting she should resign in those five appearances

in which she either willfully or inadvertently put forward a narrative that the white house did not believe. gregg: clyburn has an apparent track record of doing this sort of thing. earlier this year he accused newt gingrich of using racially coded language. on msnbc he told al sharpton mitt romney was recommend any sent of racists who kept rosa parks in the back of the bus. then said the president's problems are in large measure because of his skin color. is there a pattern here with representative clyburn that diminishes his credibility? >> the bigger question is there a pattern of racism directed at this president by republicans. when you call someone the food stamp president, that sounds

like code language. i don't think it's my job to tell james clyburn what he should find racially offensive. >> we need a mccain moment from democrats who see this divisive language and tell it to stop. one republican radio host introduced him using his middle name hussein to try to race bait. at what level does someone la to achieve to have their race and gender stop being the issue? and, alan, the congressional black caucus opposed susan rice's nomination in 1997. is that racist? >> i'm saying i think it's not my place to tell james clyburn how he may feel offended because of a history of racism.

i think -- i think it's a mistake strategically to start attack an african-american woman. >> i heard alan say this before, we should not be attacking a black woman. is that why barack obama put hereford when she had nothing to do with benghazi bus he knew she would be a hard person to attack? gregg: we have got to go to a commercial break. heather: coming up. police serving search warrants in the deadly house explosion. what's happening in this now murder investigation. [ male announcer ] when these come together,

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gregg: police serving search

warrants and questioning people into that deadly explosion that ripped through an indianapolis neighborhood. you see the damage. police just announced the case is a homicide investigation. prosecutors say so far no arrests. but several people taken into custody. that came as quite a shock to people living nearby. >> it was absolutely not what i wanted to -- obviously live next door to. >> they came over to ask about the white van and if anybody came to my door to talk about the white van. i have never seen it. gregg: two people died in that blast. dozen of homes were damaged or destroyed. heather: people lining up before the holidays for help in the wake of hurricane sandy. >> reporter: most us are thinking about turkey and the trimmings, folks here are

thinking about the basics. apples, juice, toilet paper and diapers. they are still lining up. 3,000 people a day here getting donations from the city of new york. the basic food supplies that have been cut off because there was no electricity to supply the stores. 22,000 meals will be given out in the new york metropolitan area. >> toilet tissue, water. they are in need of things. people are still feeling it. >> i thank god for charity, helping people, because they didn't have to do this. i'm thankful for it. >> reporter: they say the best thanksgiving would be a return to their normal life. heather: how long with the relief effort last?

>> reporter: this will continue until friday. three more days, that means stores will be having their supplies and the power will be back on. the damage here will be lasting. officials admit it will take time. >> the water is back up and running. but there is reports of brown water coming through. folks are told not to use the water from the faucets. that's still a great need and we are trying to get whatever we can. >> reporter: the facebook page, a place at the table connects host families with those in need. heather: thank you so much. gregg: democrats telling the president we should go over the fiscal cliff and negotiate after. what that could mean to you.

heather: major changes are coming to our healthcare system. specifics how it will affect you and your doctor. not the taxes on our dividends though, right? that's a big part of our retirement. oh, no, it's dividends, too. the rate on our dividends would more than double. but we depend on our dividends to help pay our bills. we worked hard to save. well, the president and congress have got to work together to stop this dividend tax hike. before it's too late.

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your world. ♪ [ whispers ] real bacon... creamy cheese... 100 calories... [ chef ] ma'am [ male announcer ] progresso. you gotta taste this soup. ." heather: fox news alert for you, ramped up diplomatic efforts to bring a cease-fire to the middle east. as violence between israel and hamas escalates massive new explosions seen in gaza city this morning after terrorists bombed a bus in tel-aviv. welcome to a brand-new hour of "america's newsroom." i'm heather childress in for martha maccallum. gregg: i'm gregg jarrett in for bill hemmer. hillary clinton met with mohammed morsi, and another

meeting with mahmoud abbas, and then with benjamin netanyahu she expressed a commitment to israel. >> america's commitment to israel's security is rock solid and unwaivering, that is why we believe it is essential to de-escalate the situation in gaza. heather: doug mcelway joins us live if the white house. what is the latest with the talks with secretary clinton? >> reporter: no read out yet on the talks ao egyptian president morsi yet. we did get a read out on her talks with mahmoud abbas. no signs of any kind of progress or breakthrough, but just appreciation for the effort. the move towards the cease-fire very much come phra ka*eulted by thcomplicated by a terrorist attack on a bus. the white house condemned the

attack in the strongest language. these attacks against israeli civilians are outrageous. the united states will stand with our israeli allies and identify and bring to justice the perpetrators of this attack. that statement very much in line with a number of administration statements in recent days that seem to be aligning themselves very closely with the israeli position. the comments from secretary of state clinton earlier today that you played moments ago in a sound byte that the u.s. commitment to israel security is quote, rock solid and unwafrg, very much in line with what the u.s. position seems to be, heather. heather: what are we learning about the talks with morsi right now. >> reporter: no read out on the talks with morsi. it's a very, very difficult situation for morsi to be in. he is a phepl pwefrt muslim brotherhood. the muslim brotherhood is closely aligned with hamas. the organization in palestine

that is firing all of these rockets at israel. even if he is able to broker some kind of a short-term cease-fire that is not what israel wants. they believe that will lead to another flare-up. here is benjamin netanyahu. >> if there is a possibility of achieving a long-term solution to this problem through diplomatic means we prefer that. but if not i'm sure you understand that israel will have to take whatever action is necessary to defend its people. >> reporter: we are not expecting any kind of a statement from the white house or a comment from the president today, his only "figure only official duties after returning to asia is to pardon the turkey in the rose garden at 2:00pm today. heather: thank you. gregg: what will it take to get both sides to agree to a cease-fire. rman, a former ambassadorill to the united nations on what israel is looking for.

heather: the taliban claiming responsibility for an attack near a u.s. base in kabul that killed two afghan guards. the explosion happening in a neighborhood filled with foreign forces and embassies. we are told that the bombers meant to target the american base but were spotted by security guards before reaching the building. the guards fired killing them but not before one of the explosive vests went off. gregg: fox news alert, major changes are ahead for millions of americans, as the president's healthcare law settles in. but there is new research that shows most people have no idea in the world what is going on, saying that little has been discussed about specifics. bob cusack is managing editor of the hill he joins us live from washington. bob, good to see you. one study found that roughly 80% of low-income americans who will become eligible have no idea what is going on. could that jeopardize a system

that is dependent upon many people being involved in. >> yeah, no it's very important. the administration has a huge task they've got to implement the law overt next year and if you if lower enrollment experts say that will lead to overall higher premiums. you want to get as many people as you can into these health exchanges otherwise hospitals say they will be stuck with the bill and that is going to lead to higher premiums. an enormous task of the obama administration. they have to issue these new rules. they postponed them until after the election, now they are starting to role them out. they have to educate the public, it will be very difficult to do. and politically dies see, you have a lot of governors who don't want to guy anywhere near this healthcare law. gregg: speaking of the republican governor they say look we are not going to set up the state healthcare exchanges. that is one more burden the federal government is putting upon us. how big of a wrinkle is that in implementing obamacare.

>> it's a big wrinkle. the supreme court threw in a big wrinkle. the medicaid expansion is optional. a lot of governors are not going for that option although they get a fair amount of money if they did sign up. that will lead to fewer people -pb being inch insured. educating people to get into these programs has long been a problem. a lot of children who were eligible were not enrolled. >> mckenzie and company worldwide came out with a stunning report. they said as many as a third of employers are considering canceling their coverage for their workers. so whatever happened to the president's promise, if you like your coverage you get to keep it? >> yeah, that is going to be a big focus. remember this law is going to be implemented in 2014 and that's an election year. healthcare once again will be front and center, repeal is off the table. i think a lot of the smaller employers are certainly weighing

that, weighing dropping coverage, i think the larger employers will stay in because there are incentives that the government gives them to retain their employees on their health plans. that is going to be the biggest thing i think that a lot of people will be watching is how many employers drop their employees. gregg: yeah, because of the medicare cuts, hospitals are going to have $247 billion less to care for the same number of seniors. it's crunch time for everybody. bob cusack of the hill, bob, good to see you, thanks. thanks. heather: just in time for the thanksgiving travel rush a union group is organizing a massive rally near one of the busiest airports, lax. to tie up traffic an and create longer delays for the millions of mooners preparing to hit the road today. steve brown is live inside o'hare international airport in

chicago, expected to be the nation's bussist airport today. usually airline tickets go up in price around the holidays. is that true this year as well? >> yeah, we are seeing a little bit of that as well. you were talking a second ago about how busy it will be here, between yesterday and a week from yesterday, between o'hare and midway airport they are expecting to see 1.8 million passengers either in or out of chicago. yeah, it's going to be very busy through here, seu suggest which suggests that air travel is still popular even though the economy is sluggish. in terms of the tickets themselves yes they are up from earlier this month. if you're afraid of the big jumps we are still a holiday away from that. have a listen. >> over thanksgiving prices were relatively flat compared to thanksgiving 2011. where we do see a little bit of a jump is when we get to christmas. we see airfare prices 8% higher

than we saw last christmas. >> maybe it's a big headache for folks that are traveling today is the number of canceled and delayed flights because of fog in the chicago area. it really impaired midway and owe hair. it's a domino system. a lot of the regional flights, everything you see up here in yellow is at least delayed. a lot of the canceled flights are from the midwest, springfield, missouri, and other points in the midwest. make sure you check with your airline if you're traveling today. heather: that is a lot of yellow on the screen. folks were waiving to you in the line, they didn't look some aggravated. hatch of the thanksgiving travelers will go by car instead. what is the impact on gas prices for those folks? >> reporter: it depends on your perspective. it's a little bit lower. gas prices according to aaa are 7-cents lower than they were earlier this month. however it's still 7-cents more than it was last year. if you're going to drive you're going to pay a little bit more,

but 7-cents a gallon. it will cost you more ticket wise and gas wise. they are expect being the actual number of travelers to go up this holiday season. heather: you're just filled with good news today. thank you so much. steve brown reporting for us. thank you. gregg: flight attendants on u.s. airways have voted to authorize a strike. union officials say that move is meant to put pressure on the airline to reach a contract agreement with the union. in a statement u.s. airways assured travelers there will be no flight disruptions during the holiday travel season. federal law makes it difficult for airline unions to strike. u.s. airways currently has about 6700 flight attendants. heather: truce talks derailed after this morning's terrorist bombing of a bus in tel-aviv. ahead we will speak to israel's former ambassador to the united nation about the road ahead and whether a ground war can be avoided. gregg: a new warning from ben

bernanke about the fiscal cliff. >> what i'm particularly concerned about is we avoid the full force of the cliff which would be quite substantial. gregg: if congress doesn't act and act quickly every household in america will feel it. we'll explain how. heather: a jury finds the right price for a former game show beauty claiming discrimination, but this legal battle is far from over. [ fishing rod casting line, marching band playing ] [ male announcer ] the rhythm of life. [ whistle blowing ] where do you hear that beat? campbell's healthy request soup lets you hear it... in your heart. [ basketball bouncing ] heart healthy. great taste. mmm... [ male announcer ] sounds good. it's amazing what soup can do.

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heather: fox news alert, the mortgage rate for a 30-year loan at a record low now 3.31%. rates have fault inch further since the federal reserve started buying mortgage bonds in september to try to encourage more borrowing and spending. more rage rates have persuaded people to refinance and they boosted home sales. they are 30% off their 2006 peak. gregg: let's get back to our top

story. secretary of state hillary clinton traveling to egypt this morning to push for a truce between israel and gaza's hamas rulers after negotiations broke up. is there anyway to salvage this and avoidn all out ground war. is that even a good idea? maybe not. here is dan gillerman former israeli ambassador to the united nations and a fox news krerbt. you're in the maybe not. in fact you're in the not category. you don't think a cease-fire really makes sense from the israel point of view, why? >> well, gregg, today is a very special day for me, because the bus bombing that happened in tel-aviv was literally 200 yards from my home -rblgs and i', and i'm going back to israel tonight, to a very uncertain and ominous situation. anybody in that situation would say, let's put a stop to it, i mean let's have some peace and

quiet. but you have to understand who are we dealing with. we are dealing with a barbaric, evil, brutal terror organization that is intent on destroying israel and has amassed all these weapons in order to try and kill as many civilians, including women and children as possible. so i don't see a cease-fire doing any good. i appreciate the efforts of the secretary linton, i have great respect for her, and i'm sure that she and the president really want to put an end to this. but, you know, her going to cairo is in a way like her going to afghanistan and pakistan trying to get al-qaida to stop terrorizing the world. we've got this group that has to be eliminated, that has to be finished. we cannot live in a neighborhood where we have a group of people who are dedicated to murder and to making children live under attack and under threat every day, live in shelters and not go

to school. you know, children in this country will be celebrating thanksgiving, and soon be hearing the sound of jingle bells, children in israel over the last 12 years because of hamas have lived to the sound of sirens. gregg: rocket sirens, and explosions, because many of them have hit. look, israel engaged in a ground incursion into gaza, 2008-2009. how would this be any different? >> it has to be different, because obviously the ground incursion into gaza last time was not with the intention of eliminating hamas. gregg: this time it would be. how would you eliminate hamas? i mean, really can it be done? >> i believe it can be done. it can obviously be done at a very high cost. it will probably be done with a lot of civilian casualties which so far we've tried to avoid. gregg: that would only even rage the arab world against israel. >> let me tell you something about the arab world, gregg.

i served at the u.n. for six years and i was there during the second world war, and i cannot even start telling you the number of prime ministers, kings and sultans from the arab world and said, go, finish the job, don't stop. there is no sympathy in the arab world for hamas. hamas is supported by iran. the only ones that want to see them survive and prevail is the iranians. they would celebrate if hamas was gone. gregg: i spent a lot of time in the west bank and down in gas aeu met with terrorist, i met with families of homicide bombers. one distinct impression i walked away with, for every terrorist there are ten willing to fill his or her shoes. again i ask the question, can hamas really be stamped out.

>> you've been to the west bank and gaza and you see the difference. the west bank is thriving, the cities have great economies, great safety and security. and i believe at the end of the day that most palestinians want to live like that. they don't want to live in this world's largest prison hamas has created in gaza, be hostages, live on a floor above a missile. when you go to sleep with a missile don't be surprised if you don't wake up in the morning. that is the reality. these people are using their own people as hostages, they have no value for human life, neither ours or their own. in a way they would love a ground invasion because they would try and kill as many israelis as possible and couldn't careless about the number of palestinians they kill. this is a very, very brutal, evil enemy. as you said there may be others coming. they all think they have 72 virgins waiting up there for

them. but i think we should do everything to root them out. as long as they are there israel will not be able to live under that threat. gregg: israeli ambassador dan gillerman always good to see you. thank you. >> thank you very much. heather: new questions today about what happened to missing fort bragg shoulder kelly bordeaux at a gruesome discovery at a military base. her brother and sister join us next. >> please return my sister. i have a three-year-old son. kelly is the moon to him. i can't explain anything to my son, he doesn't understand this. i just wanted her to come home. it's called bankamerideals, from bank of america. i choose the cash back deals in my mobile or online banking. i just use my bank of america debit or credit card when i pay. and i get as much as 15% cash back -- put into my account. this is on top of other rewards and discounts i already get.

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heather: it's been more than seven months since anyone has

seen or heard from missing fort bragg soldier 23-year-old del kelly bore tkoer. she disappeared last april after leaving a bar. newly discovered remains are raising questions about her disappearance. joining us now is her sister and her brother. i want to thank you so much for joining us this morning. >> thank you for having us. >> thank you for having us. heather: this latest development, there have been remains that were discovered in the eastern training area of fort bragg. how do you feel, olivio, i'll start with you about this latest development and that it could possibly be the remains of your sister? >> um, to an extent there is relief to finally have answers, but at the same time nothing is confirmed so you can't put all your eggs in that basket. >> matt, how do you feel? >> kind of the same way, you know, it's always one of those

questions whether it's going to be her or not, so we just have to wait and see if it's confirmed or not. heather: olivia thanksgiving is tomorrow. what will it be like there for the family. kelly is not there. i understand her birthday is coming up soon. when is her birthday? >> two days after christmas is kelly's birthday. heather: thanksgiving, how do you feel going into that? >> spending the holidays without kelly, it doesn't feel right. when we celebrated my son's birthday back in august, we are missing a part of our family, we are missing kelly, so it's extremely difficult. heather: matt, what about you? >> yeah, it's really hard. i have a five-month-old baby now and i'm sure she'd love to see her aunt so -- heather: so still holding out hope. >> oh, yeah, always, always. heather: olivia i want to ask you about this. your sister, she was last seen with a gentleman, his name was

nicolas holbert and he was working at the karaoke bar she was at that night. she had gone and sang some karaoke and enjoyed her evening. he said he dropped her off the night she disappeared outside of her neighborhood. he drove her home. you then received a text from your sister. you said the timing doesn't add up. tell me about the text and why the timing doesn't add up about that. >> the bar she went to is .8 of a mile from her house and the text messages from the time she says she is leaving the bar to the time she got home is a 40-minute window. it doesn't take 40 minutes to go .8 of a mile. >> literally you could walk the distance in less than five minutes. >> soy, i mean that's why i don't believe them. >> and so, matt, do you think that holbert is responsible for kelly's disappearance? >> oh, yeah, without a doubt. he's the last person to see her, and with his past, you know, it's stupid not to think

otherwise, really. >> this is story doesn't add up. heather: do you think that the investigators could have done more at this point? >> i think they are doing everything as quickly and as efficiently as possible. they don't want to go too quickly and miss something, or possibly jeopardize anything. i think they are doing a good job. heather: i have to wrap you up here, just quickly i i want to give you an opportunity to say a final word about your sister. what do you miss most her, she was a combat medic with the 44th medical brigade. i want to get that in there as well. olivia. >> i miss everything about her. i talked to her every day. text message, call. my son misses her, i saw the two of them make videos back and forth. i miss seeing her smile and her making us laugh and goof off with her. heather: all our prayers are certainly with you. and hopefully this will all turn

around. thank you so much for joining us. we deaf tpheuft her definitely appreciate it on this day. let's turn to rod wheeler, he's a former homicide detective and a fox news contributor. thanks for joining us. it's been more than seven months. what do you think investigators can discover at this point if the remains are in fact kel lease. >> the first thing, heather i do want to say, i applaud the family for keeping this story in the media. let me tell you that is the best way they can bring kelly home is by keeping the story out there. i applaud the family for that. not only that, but that really assists the police department a lot. a lot of the work that the family is doing is really helping the department because they don't have to go out and do that leg work. as far as the remains are concerned, it's very early, as a matter of fact it's too early to make any kind of a speculation in terms of whether or not the remains are kel lease. what i can tell you is that if the remains are kelly it will in fact give the family some degree

of closure but they really won't get final closure until that person responsible for ab ducting or taking her away is brought to justice. heather: at this point they can't even determine if they are in fact human remains. definitely early in all of this. when do you think we will know that? when can we expect to determine whether or not they are human, whether or not they are her? >> it's going to take a while, real quickly let me tell you and the viewers why. any time we find remains that are badly decomposed, obviously been out in the elements, the weather, maybe buried underground. the police haven't said exactly how they found the remains i think it could take up to 30 maybe 45 days until we learn anything specific in terms of who or what the remains are. heather: rod wheeler thank you very much for joining us with your insight. anybody with any information is urged to call police at the number on the screen or crime stoppers at the number on the screen.

gregg: an 11th hour deal to negotiate between hostess and its union suddenly falling through. now the makers of twinkies, and ho-ho's and wonder bread are looking to liquidate. did the union kill an american company. lawmakers accused of playing chicken with the fiscal cliff. just ahead, why every american could feel the crunch. >> it's up to the president and congress to figure out how they want to make the trade offs, getting improvement in the long run and providing additional support for the economy in the short run.

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gregg: goodbye hostess. after a last-ditch attempt talks between the treat maker and the baker's union crumbled late last night. now the maker of the twinkie going out of business and more than 18,000 jobs on the line. fox business network's elizabeth mcdonald. what is the deal, what is next for our beloved twinnin twinkies. >> ma tropical lust and company a private equity firm has been very interested in buying the twinkie's brand.

dolly madison and twinkies, and paps blue ribbon beer. and flowers food that owns tasty cakes. twinkies could find a home rapidly. they have iconic brands that a lot of buyers might be interested in. gregg: i love the cherry pies and the blackberry, blueberry pies. if you wind down the business what does this mean for employees? what does it involve? >> reporter: it's a really tough thing. essentially more than 18,000, 18,500 workers will be out of work in 22 states. in hard hit areas like detroit. also they are moving to shut down more than 600 bakeries, depots and stores in 22 states. so it's going to be a really tough slog of it. if they can liquidate quickly and sell those brands, those jobs could be recovered. that is the name of the game trying to get those iconic american brands up and running

and still creating jobs. this company was founded in 1930, it pulls in $2.5 billion in annual revenues. twinkies alone earn 68 million bucks in revenue. you may not see the end of twinkies or dolly madison you guys. gregg: i wish you could have heard her in the commercial break she was singing one of the tunes. ♪ great fruit pies make we want to die, come in apple and cherry they make me feel berry -- take it away, gregg. heather: that was perfect, good stuff. nearly all american households expected to take a financial hit if lawmakers don't reach a deal on the nation's budget drama by the end of the year. here is what going over the so-called fiscal cliff means in hard numbers.

158million americans would be affected. there would be an average tax increase of $3,500 per household, and 88% of households will see taxes rise, 88%. kansas republican is on the house budget committee and he joins us for more. thanks for joining us first of all. >> good morning. heather: going over the cliff it will affect different households in different ways depending on income, marital status, number of children, and other things. i want to start with tpwh-bg level. low-income households will be hit the hardest. why? >> well, there are many credits that were in the bush obama tax cuts, those expire and it will impact literally as you mention tens of millions are americans are going to be impacted. what we hear out of the white house, it's mainly top income earners but that is far from the facts.

this will have a devastating impact for many people. for the holiday season it could be a devastating blow to the economy as well. heather: something else i found interesting when i was looking through the stats, a married couple making between 20 to 30,000 a year will go from receiving on average a $15 tax credit to owing over $1,400. so there is the marital tax credit as well. >> yes, we have marriage penalty will kickback in again and numerous other things will happen. child tax credit will be decreased. that's why i think we should extend all of these, give us a year for fundamental tax reform in washington, but right now the administration is focused on the 2% that he would like to pay higher taxes and frankly we need more jobs we don't need higher taxes in this country. heather: seeking of jobs extended federal jobless benefits those will end next year for up to 5 million americans and that could lead to losses. it's not just the tax increases

that families are facing? most of the impact will be the $400 billion in tax increases, this would be the single largest tax increase in american history. then you have the spending side as well which is significantly smaller but it will still have an impact on everybody's every day lives and certainly on the economy. when the economy is moving so slow the last thing we want to do is have a massive tax increase that's been projected for two years now, washington has known about this and it keeps getting put off. the u.s. house has passed a bill to to undue this and we're looking for the senate to ask and for the president to put forth a credible plan. heather: 100 billion in spending cuts, how hopeful are you that an agreement will be reached? >> i am less hopeful than i was about ten days ago, but we are still looking for a credible plan. right now what we're hearing is a lot of rhetoric, a lot of talk about the 2%, again the 2% tax increases that the president would like to impose is a very

small portion of this whole deal, and actually the biggest part of it is the middle income and lower income will be harmed by these tax increases. let's see what the president's plan is, a credible plan that actually gets us through this crisis. the next crisis is the fiscal abyss ofrelg an ceiling and that could have a harm fill effect on our economy. heather: thank you for joining us. >> thank you. gregg: she was a model on the prize is right. she said she was fired after she became pregnant. coming up next, find out if the jury agreed with her. americans are always ready to work hard for a better future.

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>> come on down. you're the next contestant on "the price is right." gregg: a model now gets to come on down and collect a big win. a former model of the iconic tv show that is. jurors awarding 41-year-old brandy cochran nearly $777,000 in a lawsuit against "the price is right." bette she thinks that price is right. she says she was discriminated against by producers of the show because of her pregnancy. the production company promises to be quote fully vindicated on appeal. we have a defense attorney who joins us now and we have a trial attorney. $777,000 for wrongful termination? does that strike you as a little bit high, not to mention the next phase of the trial, punitive damages, which could be millions. >> yeah, gregg, i am all for women's rights in the workplace.

during the past ten years i've represented numerous victims of employment discrimination. you've got to remember it is not illegal to terminate a pregnant woman. what is illegal is to terminate a woman because she ways pregnant. in this case i think the employers made it very clear that that was not their intent, that they did not terminate her because of her pregnant see. gregg: they simply said we are very happy with the current five miles that we have. we don't really want to evict one of them. deborah, one of the things that caught my attention here was the judge did not allow testimony from the company, the production company that, hey, look beings 40% of our models have been pregnant at one time or another, as circumstantial evidence that we don't discriminate based on pregnancy. >> yes, well the attorneys for both sides partook in the arguments on whether or not that information should come in. the judge must have found that in 2007 when this happened

before with the same woman when she was pregnant, when the producers told her that a miscarriage was god's way of getting rid of a bad baby, that just must have been really persuasive to the judge and not allowed them to bring in other information. we don't know exactly what happened, but the judge had a reason for making his ruling. >> judicial error, reversible error? >> big time. the fact that the judge did not let in this crucial piece of evidence, gregg, 40% of their models have been pregnant at one time or another, that is a very, very strong argument to make on appeal. you've got to remember, it's about the intent. did they intend on discriminating against this model because of pregnancy? gregg: deb rarbgs isn't ther deborah, isn't there a fine line. there is a whole body of law, i was reading a federal court of appeals decision which says you can fire somebody because of their appearance. there is a fine line between firing somebody or not rehiring them because of their appearance

and being pregnant. >> i agree, there is a fine line, it's just here, based on what i've learned about this situation, they really said very nasty things to her and made it very clear that she was no longer considered a barker's beauty because she was pregnant. >> what about that? >> well, gregg, look, if you own a moving company, for example, and you hire someone to do heavy lifting, lift heavy boxes and they injure their arm and are unable to move the boxes are you saying the employer has no right to terminate that employee? i think not. if that employee is unable to perform the job for which they were hired they have a right to terminate them. >> i guess we'll have to leave it at that, and i think they have a pretty good argument on appeal. we'll wait and see how that turns out. good to see you both, thank you. >> thank you. >> thank you. heather: coming up, new fallout

over the terror attack in benghazi that killed four americans. the head of national intelligence now changing his story about who changed the kreurbgs a's talkin cia's talking points. gregg: a coin toss to break a tie in a state election, so why is the race still up in the air? [ man ] ring ring... progresso this reduced sodium soup says it mahelp lower cholesterol, how does it work? you just he to eat it as part of your heart healthy diet.

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gregg: an election decided by a coin toss, if only it were that easy. it happened in walton, kentucky. two candidates up for a city council seat got the same number of votes so they flipped for it. even that didn't work you because the win er win-win era nounsed he she won't take the seat because she is moving out of city.

>> i was hoping it would fall on whatever robert mcdonald had called. we wanted it to go to him so there wasn't any doubt as to who would be taking my seat. gregg: yeah. all right. the other members of the council will have to decide who takes the empty seat. if you're confused, so am i. heather: me too. gregg: it makes no sense. i don't get it. heather: new concern for our wounded vets returning from overseas. studies now linking traumatic brain injuries to the military's record--high suicide rates. mike tobin is live in chicago. what is the link about. >> reporter: it's amazing, heather. just about one in five servicemen and women are returning from iraq and afghanistan what concussion, a head injury called a traumatic brain injury or tbi. major ben richards is one of those soldiers. he he once test wed a 140iq, he spoke chinese, now he has trouble remember things. he's been discharged from the army and considers himself no

longer employable. he says what he wants to do is get smart again, his words. richards is trying experimental treatment like press you are riced oxygen in a hype bow bear i can chamber. he said treatment by the vets was not helping him get back to his old self. >> the line was, this far after the blast event there is really no expectation of improvement. the best that you can oep for is to find something they call the new normal. >> reporter: his treatment is paid for by the doctor who is advocating the science, heather. heather: mike, we see this in the nfl as well, we've heard about it, traumatic brain injury, it goes hand and hand with suicide? >> reporter: yeah, it's amazing. the hard part is that doctors can't make the link saying that one causesse causes the other. you cannot argue with the numbers. the suicide rate is killing off servicemen and women faster than

enemy fire. -pt services are aware of it. the army is doing something about it. fort campbell is a base that has established a specialized treatment center forehead injuries and all of the complications that go witness. they call it the war resiliency center. unless you have a visible severe wound you don't need help -rblgs th. the other is a fear of getting kicked out of the service. >> i waited so long to get help too. i was scared. i was going to be medical here retired. the army is something i wanted since i was three. >> reporter: once the soldier seeks out the help the suicide at behavior stops. heather: all of our wounded warriors definitely deserve to get the help they need. mike tobin reporting live for us. thank you, mike. >> reporter: you got it. gregg: 43.6 million americans are going to be traveling this holiday season, and denver --

wow that is the airport, the international airport in denver, they say it is a little bit crowded and busy there is quite the understatement. do want to tell that you north of denver and a little bit east in chicago weather is upsetting travel plans there. dense fog in the chicago area forcing the cancellation we understand of 90 inbound and outbound flights in the city's two airports, o'hare and midway. of course lots of folks will be out there on the roads and in the skies and maybe a few on board boats as well, so be careful, have a great thanksgiving. heather: some airports are offering like free yoga classes. gregg: really. heather: while people are waiting there. gregg: i don't want to do yoga at an airport. heather: i don't know if we want to see you do yoga while we're waiting. gregg: thank you very much. heather: a new terror attack rocking the middle east as time runs out for a truce in gaza.

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bill: and fox news alert. we just received a letter from senator lindsey graham. he is asking for more information on the attack on our consulate in libya. i will quote him and letter read i remain concerned that senators have written 13 letters requesting information from your administration, and they remain largely ignored. he goes on to say that it is unfair to the american people and the victims of the benghazi attack to not provide the same level of detail for what i consider a major national security failure. mr. president, you have a duty to the american people to answer the basic questions surrounding the benghazi attacks. the latest, this is sent from capitol hill on the streets the white house on the